Malaysia to Invest US$250 Million in Strategic Collaboration with Arm Holdings

Malaysia is investing US$250 million in a strategic partnership with Arm Holdings to develop the AI and semiconductor ecosystem. Prime Minister Anwar Ibrahim will announce efforts to launch the first Malaysia-based chip, facilitating local access to Arm’s IP network. The initiative aims to establish ten chip companies generating significant revenue, enhancing Malaysia’s position as a tech hub.

On March 5, 2023, Malaysia announced an investment of US$250 million over the next decade, collaborating strategically with Arm Holdings Plc to foster a new ecosystem in the artificial intelligence (AI) and semiconductor sectors. This partnership aims to launch Malaysia’s first chip, enabling local enterprises to access Arm’s extensive intellectual property network and benefit from technology transfer.

Prime Minister Datuk Seri Anwar Ibrahim is expected to unveil this collaboration, highlighting Malaysia’s ambitions to establish up to ten chip companies generating an annual revenue of US$20 billion. Already recognized as a crucial hub for chip testing and packaging, Malaysia seeks to advance into chip design as part of this initiative.

Tunku Nashrul Abaidah, a senior press secretary to the Prime Minister, underscored that this collaboration marks a significant milestone for Malaysia in the global technology sector, projecting a transformation in its AI and semiconductor landscape. Malaysia will also be the inaugural nation in the region to host an Arm office, thereby enhancing its technology ecosystem.

The partnership is believed to bolster the nation’s competitiveness in technology by equipping Malaysian firms with advanced semiconductor expertise and training local skilled workers. This initiative reflects the government’s commitment to high-value collaborations and aims to reinforce the nation’s technological capabilities.

This strategic move, part of the MADANI Government initiative coordinated by the Investment, Trade, and Industry, Finance, and Economy Ministries, notably demonstrates investors’ confidence in Malaysia’s forward-looking policies and its role as an influential tech hub in ASEAN.

In conclusion, Malaysia’s strategic collaboration with Arm Holdings marks a pivotal investment in the AI and semiconductor industries, aiming to establish ten chip firms with substantial revenue. This initiative not only enhances Malaysia’s technological capabilities but also positions it as a regional leader in the sector, showcasing the government’s commitment to fostering innovation and expertise in technology. The establishment of an Arm office signals the beginning of a promising technological ecosystem in Malaysia.

Original Source: www.bernama.com